How to Manage Your Wealth Wisely?

You must have heard the
word ‘frugality’ on numerous occasions. Have you ever thought
what does it really means? Your answer will surely be that it
means to spend wisely. Now this ‘spending wisely’ phrase has
been repeated so many times that I am sure it has little
attraction for most of you.

You surely need something for your living, may be less or
more. However getting trapped into financial disaster is not
only limited to less earners but even a person who earns a
handsome amount may encounter such situations.

You must have often felt that you earned a lot of money this
month but after paying your bills and fulfilling other needs you
are still falling short. You are left with nothing extra to
fulfill your pending desires and you get into financial stress.
You hold your head and start thinking that you have spending
wisely then why it is getting difficult to make both ends meet.

Yes we agree that you have been spending wisely throughout the
month but there must be something that must be missing. May be a
good amount of your money have been leaking from your kitty
without letting you to notice it. It may be a very small amount
which you let go unintentionally. You don't even consider that
amount as big. No..... okay, have you ever considered switching
of extra bulbs in the rooms which are not in use ? Have you ever
thought of taking your own lunch to your office?

There are hundreds of such small things towards which most of us
do not pay much attention. We consider them to be small things.
we think that saving petty 10 bucks will not make us rich. If
this is the case with you , you may need to change your
thinking. Remember this small amount which you let go waste can
add up into thousands after some times.

If you closely pay attention to such small leakages in your
kitty, you surely will be in a position to avoid financial
crisis. Imagine some extra 300, 600 extra bucks in your pocket
without having to work for them.

"Hmmm, I like this, I want this" and a small magic card appears
out of your pocket and there you go. Have you ever asked
yourself "whether I really need this..." well most of us just
tempt ourselves, dictate ourselves, find some supporting excuses
for us and then just go for the thing we desire ( want).

Of course I never mean to say that you don't get what you
desire. However it will of more pleasure to you if you get it
from your saved amount instead of disturbing your monthly
budget. Here you have to observe strict financial discipline?

Nevertheless, it is a fact that you cannot go without it. You
need to practice frugality in order to build wealth. Whether you
earn 1000 bucks or 100’000 bucks, until and unless you practice
frugality you cannot build wealth.

We all have to admit the fact that financial stress is now among
the top five reasons for divorce and some out of you must have
experienced the agony of financial crisis. Let’s face it
financial stress is really very tough. Therefore, you have to
think seriously about its causes.

There can be following reasons for financial crisis:

1. You do not know where your money is going.2. You do not observe financial discipline.3. You cannot differentiate wisely between your wants and needs.

Out of these three, the top one is differentiating wisely
between your wants and needs. I talked with number of
people, rich and poor both and came to a conclusion, which can
be narrated in the words of Oscar Wild,

” When I was young I
thought that money was the most important thing in life, now
that I am old I know that it is”.

So when the financial aspect is considered as one the most
important aspect of our life, we should be able to handle it
according to the importance it deserves.

Wealth creation is not at all an impossible or difficult for
most of you. To me creating wealth is a simple process that is
totally based on common sense. You should learn to create wealth
and manage it properly.